Distribution Statement Processing
pControl Distribution Statement Processing provides control over the receipt of physical distribution statements and cash payments with allocation and settlement to unit holders.
Distribution Statement Processing provides complete end-to-end process flow for managing the expected receipt of external distribution statements or income vouchers, for individuals, funds and across multiple nominee accounts. This provides controls to ensure that expected values are received and the settlement of reinvestment or cash is correct for unit holder accounts held on external transfer agency, registry or policy holder systems. Cash received in the unitholder’s bank account is reconciled to the notified and expected values of distribution statements. Where settlement is by reinvestment, units reinvested are checked to ensure calculations are correct.
Periodic income distributions can create ‘peak load’ pressures and cause disruption to daily business processes where manual and semi automated processes are relied upon. These can be expensive, lack scalability and transparency, and carry significant operational risks that adversely impact customer service.
- Determines statement due dates and monitors the expected arrival of distribution statements from external fund managers, ensuring that all statements have been received.
- Captures distributable income as cents or pence per unit (CPU / PPU), distribution value or crediting rates.
- Allocates distribution amounts to unit holders using externally provided holdings from transfer agency, registry or policy holder systems.
- Undertakes all required validations such as confirming units on statements agree to recorded values and ensuring settlement option is as expected for reinvestment or cash.
- Undertakes cash reconciliation of statement values to bank accounts.
- Generates distribution settlement views, accrual journals, reinvestment orders and cash settlement journals throughout the processing life-cycle.
- Creates internal records and allocations for each unit holder in the fund asset which provides status control for the management and hand-off to external systems.
- Allows users to view the status of each distribution across multiple ex-dates.
- Allows for data to be reloaded at any time and provides exception management.
- Distribution statement control record allows navigation from summary to unit holder detail levels with ability for user to approve or re-run processing.
- Rules and calculation engine provides flexibility and ease of implementation of distribution category changes.
- Delivers rich client and SLA compliance reporting.
- Full audit trail of all distribution statement processing activity allows for review by all stakeholders and auditors.
- Production Summary dashboard delivers progress monitoring of all distribution statement processing activities for each processing date.
- Attention Status Monitor dashboard provides real-time exception monitoring for any activity with critical completion or Service Level Agreement deadlines.
The Distribution Statement Processing end-to-end control framework and standard process template delivers a known end-state with defined target metrics. This simplifies client re-engineering decisions and ensures a predictable time-line to benefits.
The standard process template includes the following:
- Creation of expected dates for receipt of distribution statements
- Monitoring the receipt of distribution statements
- Import of unit holder values
- Import of distribution statements or income vouchers
- Pre-calculation validations
- Generation of income detail records
- Monitoring of cash receipts and reconciliation to bank statements
- Updates to income detail records upon receipt of cash
- Notification to downstream systems
The Distribution Statement Processing capability is included within the following solutions: